Future Centered Design

1. Future Centered Design Designing for Sustainable Business Janaki Kumar, Design and Co-Innovation Center, SAP Labs May 2013 Stanford University, d.school
2. © 2011 SAP AG. All rights reserved. 2 Enterprise Software Applications vendor 100 K global customers 15 billion revenue 45 K employees worldwide 65% of global GDP flows through SAP system About SAP
3. Sustainability is more than environmentalism
4. Sustainability is meeting the needs of the present without compromising the ability of future generations to meet their own needs Brundtland, 1987
5. © 2011 SAP AG. All rights reserved. 5 Business are starting to pay attention to Sustainability
6. Population growth accelerates consumption 9 billion people by 2050 1 billion more in the middle class © 2011 SAP AG. All rights reserved. 6 Key trends and motivators
7. Accelerated consumption drives price volatility 50% more energy needed by 2030 40% increased price volatility compared to the 90s © 2011 SAP AG. All rights reserved. 7 Key trends and motivators
8. Brand risk rises as the world gets more unwired and connected 66% own a cell phone 500 million use Facebook © 2011 SAP AG. All rights reserved. 8 Key trends and motivators
9. © 2011 SAP AG. All rights reserved. 9 Authorities and your best customers want your compliance 1000s of new legal and supply chain requirements every year Key trends and motivators
10. © 2011 SAP AG. All rights reserved. 10 Resources RegulationReputation Business Case for Sustainability
11. © 2011 SAP AG. All rights reserved. 11 Challenges Change takes time Missing information for decision making – triple bottom line Low visibility into operations of the global supply chain
12. © 2011 SAP AG. All rights reserved. 12© 2011 SAP AG. All rights reserved. 12 What does all this impact designers?
13. © 2011 SAP AG. All rights reserved. 13 Future Centered Design © 2011 SAP AG. All rights reserved. 13
14. © 2011 SAP AG. All rights reserved. 14 Rethink Process Rethink Materials Rethink Product life cycle Rethink Customer Experience Future Centered Design © 2011 SAP AG. All rights reserved. 14
16. Rethink Process UCD required but not sufficient Effectiveness, Efficiency, Satisfaction and Sustainability?
18. Rethink Materials 45,000,000 children’s products recalled in 231 the US in 2007 Packaging accounts for a significant portion of energy cost © 2011 SAP AG. All rights reserved. 18
20. © 2011 SAP AG. All rights reserved. 20© 2011 SAP AG. All rights reserved. 20 Rethink Product Lifecycle
22. Rethink Consumer Experience If financial, social and environmental impact of purchases were made visible to consumers, will it alter their buying decisions?
23. © 2011 SAP AG. All rights reserved. 23 Rethink Consumer Experience
25. Summary Sustainability is now business relevant Designing for Sustainability takes a mind shift To be successful, designers need to: ... Rethink process ... Rethink materials ... Rethink product lifecycle …Rethink consumer experience Thank you! Janaki Kumar | janaki.kumar@sap.com | @janakikumar
26. www.SAPSustainabilityReport.com
27. SAP User Experience Locations Palo Alto, USA Ra‘anana, Israel Bangalore, India Walldorf & Rot, Germany Sofia, Bulgaria Paris, France Vancouver, Canada São Leopoldo, Brazil Shanghai, China Gurguon, India Boston, USA
28. CEO Climate Policy Recommendations to G8 Leaders June 2008 “The ICT (Information and Communications Technology) industry is responsible for 2% of global CO2 emissions. ICT solutions have the potential to be an Enabler to reduce 30-50% of the 98% CO2 emitted by non-ICT industries.”
29. © 2011 SAP AG. All rights reserved. 29 The Business Case for Sustainability ■ Cost and risk of compliance ■ Customer & legal requirements ►Operational Risk Mgmt Risk Reduction ■ Cost reduction through process efficiencies ■ Supply chain collaboration ►Energy and Environmental Resource Mgmt Resource Productivity ■ Competitiveness ■ New markets ■ Brand value ■ Customer Loyalty ►Sustainable Supply Chain and Products Sustainable Consumption ■ Sustain the business model ■ Employability ■ Health & diversity ■ Higher market cap ►Sustainability Reporting and Analytics Sustainable Strategy
30. © 2011 SAP AG. All rights reserved. 30 SAP Solution for Operational Risk Management Go beyond compliance to protect people and operations, prevent accidents, and boost productivity. © 2011 SAP AG. All rights reserved. 30 Risk Reduction
31. © 2011 SAP AG. All rights reserved. 31 SAP Solutions for Energy & Environmental Resources Energy Mgmt for Manufacturing: Real-time visibility into plant energy consumption © 2011 SAP AG. All rights reserved. 31 Resource Productivity
32. © 2011 SAP AG. All rights reserved. 32 Risk Reduction Sustainable Consumption © 2011 SAP AG. All rights reserved. 32 SAP Solutions for Sustainable Supply Chains and Sustainable Products More competitiveness and reduced risk through Sustainable Sourcing, Procurement and Supplier Management
33. © 2011 SAP AG. All rights reserved. 33 Sustainable StrategyStreamline reporting. Focus on execution of your strategy. For regulated and non-regulated industries. © 2011 SAP AG. All rights reserved. 33 SAP Solutions for Sustainability Reporting and Analytics
34. © 2011 SAP AG. All rights reserved. 34 Sustainability Customers Carbon Impact Energy & Env. Resource Mgmt. People Health & Safety Product Safety Sustainability Performance Management

Editor's Notes

SAP is a leading enterprise software vendor that enables business to manage their resources across their supply chain, customer relations, supplier relations etc. A phrase commonly used is from the shop floor to the top floor. SAP has over 100 K customers in over 120 countries in a variety of industries – automobile, food and agriculture, consumer products, utilities, pharmaceuticals etc. SAP is head quartered in Germany and has offices all over the world. It is estimated that 65% of the global gross national product flows through an SAP system every day.

Why is a company like SAP interested in sustainability?

What does sustainability mean to you?

Gro Harlem Brundtland is a Norwegian social democrat. She served as the prime minister of Norway for three terms and as the director general of the WHO. Special envoy of Climate Change for the United Nations

The world population reached 7 billion this week and is estimated to reach 9 billion in 2050. Additionally the raise of the middle class around the world aspiring for a western lifestyle will create unprecedented demand for goods and services throughout the world.

There is a growing awareness that resources such as oil, water, and raw materials are not unlimited. The current rate of growth and ways of doing business will deplete our planet’s resources and threaten our very existence, unless we make serious changes. This impacts businesses directly via the rising cost and extreme price volatility of energy and other natural resources. Resource intensive businesses need to innovate and find other sustainable alternatives or risk going out of business

The world is more connected than ever, and as such, there are no longer any local events in the new global economy. With business supply chains spanning the earth in most cases, an ill-advised business decision on one link impacts the entire value chain. Child labor in a major shoe manufacturer’s network, and toxic substances in toys comes to mind. Consumers are becoming increasingly interested in the health, social, and environmental impact of their purchasing decisions and are willing to share their experience online with their virtual communities. Businesses no longer have sole control of their brand and are only one of many sources of news about the company. Bad news is impossible to contain and has a severe effect on reputation, sales, and share prices. The recent oil spill in the US is an example of this phenomenon.

Businesses are faced with an ever increasing number of new environmental, social, and product regulations per year. Such regulations pertain to product and material compliance, employee health and safety, sustainability reporting, and carbon trading. These regulations provide a clear incentive for businesses to think about their operations from a sustainability perspective to minimize or eliminate the risk of non-compliance.

Rethink Process

CDSP announced 400 recalls in 2010

The SAP User Experience Group has 190 people distributed across many locations internationally. The majority of our members are in Walldorf.
We have usability labs in Walldorf, Palo Alto, China and India.

(This slide needs to be updated regularly.)

The ICT (Information and Communications Technology)industry is responsible for 2% of global CO2 emissions.

Future Centered Design

You are reading a preview.

Future Centered Design

More Related Content

Similar to Future Centered Design

More from Janaki Kumar

Featured

Related Books

Related Audiobooks